The board of LacPatrick Dairies met earlier today (Tuesday, March 20) to set a price for February milk.
LacPatrick will pay a price of 35.75c/L including VAT for suppliers in the Republic of Ireland while suppliers in Northern Ireland will receive a price of 27p/L.
The processor’s base price has fallen by 3c/L; however, February prices will remain the same as the January figure due an unconditional ‘Early Calving Bonus’ of 3c/L to be included in the price for suppliers in the Republic.
The average February pay-out for LacPatrick suppliers in the Republic of Ireland is 38.49c/L while the average February payout for suppliers in Northern Ireland is 28.15p/L.
Market comment
LacPatrick Dairies chairman Andrew McConkey said the price is reflective of where is the market currently sits.
“It is a challenging time for markets and it is a challenging time for farmers. We have been alerting our suppliers for a number of months that the market returns are way out of line with the farmgate price.
“We have held the price right through the winter period and we have shown a strong commitment to farmers by retaining a strong ‘Early Calving Bonus’ of 3c/L despite the very challenge marketing conditions.
Our primary focus is ensuring we have a sustainable model for the co-op which includes all farmers.
“It is our desire to return the highest possible price to farmers,” McConkey said.